Read the secret encrypted text messages that could help put Sam Bankman-Fried behind bars
Sam Bankman-Fried appears at federal court in New York on Oct. 4, 2023, in this courtroom sketch.
Artist: Claudia Johnson
Much of the government’s case against Sam Bankman-Fried hinges on the testimony and text messages from those in his crypto inner circle who turned against him late last year after the implosion of FTX and sister hedge fund Alameda Research.
Of the dozens of items entered into evidence in the first three weeks of the trial, a bank of messages on encrypted app Signal paint perhaps the clearest picture of Bankman-Fried’s alleged crimes.
Bankman-Fried faces seven criminal counts, including wire fraud, securities fraud and money laundering that could land him in prison for life. Bankman-Fried, the son of two Stanford legal scholars, pleaded not guilty to all charges.
In trying to prove its case to a Manhattan jury, the government has presented a series of Signal exchanges involving Bankman-Fried, Caroline Ellison (his ex-girlfriend and the ex-CEO of Alameda Research), and former friends and top business execs Gary Wang, Nishad Singh and Ryan Salame. They date back to November 2021.
The messages gave jurors a rare look inside the casual conversations that culminated in a scheme described by U.S. Attorney Damian Williams as “one of the biggest financial frauds in American history.”
We’re quoting directly from the Signal messages that were entered as evidence, and not making spelling or other grammatical changes.
Caroline Ellison, former chief executive officer of Alameda Research LLC, center, arrives at court in New York, US, on Tuesday, Oct. 10, 2023.
Yuki Iwamura | Bloomberg | Getty Images
‘Small group chat’
The Signal thread dubbed “small group chat” includes Ellison, Bankman-Fried, and Joe Bankman, the defendant’s father who advised the company on tax-related issues and other things. Also in the group were Ramnik Arora, a former product lead for FTX, Ryne Miller, who was the company’s general counsel, Constance Wang, ex-operating chief, as well as Salame, Singh, Wang and four others.
Prosecutors are relying heavily on text messages sent among FTX and Alameda Research executives in the case against Sam Bankman-Fried.
Source: SDNY
The thread begins with two messages from Bankman-Fried posted at 3:47 a.m. on Nov. 7, 2022, the day FTX announced a liquidity crisis and began searching for cash to plug the gaping hole in its balance sheet.
At the time, Bankman-Fried pretended in public that all was well.
“FTX is fine. Assets are fine,” he wrote in a tweet that day. The post has since been deleted.
But as Bankman-Fried was tweeting reassurances and promising that customer funds were safe, executives were growing increasingly alarmed at the expanding shortfall, according to prosecutors.
In the “small group chat” thread, Bankman-Fried put forth some “potential todos,” including halting withdrawals, sending a “confident tweet thread” and reaching out to firms like Silverlake, Sequoia, and Apollo as they “wake up over the next few hours” to try and shore up cash.
Later that morning, at about 5:22 a.m., Salame linked to a tweet from an anonymous crypto trader saying, “cant wait for my FTX airdrop for not moving any of my funds.”
Bankman-Fried chimed in with different ideas about how to take advantage of the post in an apparent effort to provide false hope to FTX customers that they’d receive free tokens if they kept their funds on the platform.
Prosecutors are relying heavily on text messages sent among FTX and Alameda Research executives in the case against Sam Bankman-Fried.
Source: SDNY
The next day, Nov. 8, Ellison appealed to the group for help on optics and public messaging.
She wrote, “multiple people internally asking me whether they should continue to make statements to external parties like ‘Alameda is solvent.’ should i suggest they stall instead? just stall on responding to their messages? or what?”
That’s the same day FTX issued a pause on all customer withdrawals. The price of FTT, FTX’s native token, plummeted by over 75%, and a high-tech bank run was in full force. Out of options, Bankman-Fried turned to Binance CEO Changpeng Zhao, who announced he’d signed a non-binding letter of intent to acquire FTX.
Prosecutors are relying heavily on text messages sent among FTX and Alameda Research executives in the case against Sam Bankman-Fried.
Source: SDNY
On Nov. 9, Ellison again looked to the group for guidance about how to handle the now infamous all-hands meeting of Alameda’s roughly 30 employees.
She proposed saying, “Alameda is probably going to wind down” and that there was “no pressure” to stay but help with “stuff like making sure our lenders get paid” would be “super appreciated.”
Bankman-Fried suggested she say something about there “being a future of some sort for those who are excited.”
Ellison ended up divulging a lot more than that in the staff meeting.
“Alameda borrowed a bunch of money,” which it used to make investments, Ellison said at the meeting, a secret recording of which was played by the prosecution. But as crypto prices fell, “FTX had a shortfall of user funds” and then “users started withdrawing their funds” and they “realized they would not be able to continue.”
When she was asked by a staffer whose idea it was to plug Alameda’s loan losses with FTX customer money, she said, “Um, Sam, I guess,” and giggled.
“FTX basically always allowed Alameda to, like, borrow user funds, as far as I know,” Ellison said on the recording.
Meanwhile, a day after signing the non-binding purchase agreement, Binance withdrew the offer, citing reports of “mishandled customer funds” and federal investigations.
Prosecutors are relying heavily on text messages sent among FTX and Alameda Research executives in the case against Sam Bankman-Fried.
Source: SDNY
‘Lots of withdrawals’
Zhao, an early investor in FTX before becoming a principal rival, had made himself a central character in the FTX downfall days earlier.
On Nov. 6, he tweeted that because of “recent revelations that have came [sic] to light, we have decided to liquidate any remaining FTT on our books.”
In a group chat with Bankman-Fried, Ellison, and Singh starting that day, Singh wrote “lots of withdrawals on ftx are queueing up,” with net changes of $1.25 billion in the last day, $230 million in the last three hours, and $120 million in the last hour.
Ellison responded with a “:(” and Bankman-Fried with an “oof” after first mistakenly writing “of.”
The three continued to strategize. Singh suggested a few hours later that they reach out to Zhao privately and “ask for a truce” to “stem the bleed,” though he and Bankman-Fried both worried that Binance wouldn’t deescalate in public.
Ellison separately tried to figure out what to tell Salame about whether FTX could meet all withdrawals. Bankman-Fried suggested she write, “we can meet a ton, though it’s already getting large.”
Prosecutors are relying heavily on text messages sent among FTX and Alameda Research executives in the case against Sam Bankman-Fried.
Source: SDNY
Later, Sam Trabucco, who had already departed as co-CEO of Alameda Research in August 2022, as well as Ellison, Ben Xie (Alameda’s head of trading), and Bankman-Fried, were in a group chat discussing how to respond to Zhao’s threat to liquidate his FTT tokens.
Ellison, who told jurors that she largely avoided social media, said she would tweet at CZ, a nickname for Zhao, that FTX would buy his entire stake at $22 per coin. Ellison also testified about the practice of using FTX customer funds funneled through Alameda to buy FTT to buoy the price during times of market volatility.
Prosecutors are relying heavily on text messages sent among FTX and Alameda Research executives in the case against Sam Bankman-Fried.
Source: SDNY
Bankman-Fried weighed in within minutes, writing, “I think the main point is just to counter the PR/narrative here — and Binance probably won’t take us up on it; I also think FWIW that the market is likely to buy more if we tweet it, but idk.” (FWIW is an acronym for for what it’s worth. IDK stands for I don’t know.)
Prosecutors are relying heavily on text messages sent among FTX and Alameda Research executives in the case against Sam Bankman-Fried.
Source: SDNY
The author’s visit
Author Michael Lewis, whose book profiling Bankman-Fried was published the day the trial began, was also the subject of some Signal exchanges.
In a chat on Jan. 5, 2022, Bankman-Fried alerted a group that included Ellison and Singh that Lewis would be coming to the Bahamas the next month to do reporting.
Ellison said her “instincts are more toward under the radar.” Bankman-Fried, a notorious press hound, responded, “same, except exactly the opposite.”
‘People of the House’
Adam Yedidia, one of the prosecution’s lead witnesses, met Bankman-Fried in college at the Massachusetts Institute of Technology, and the pair remained close friends.
In his testimony, Yedidia referred to a Signal thread called “People of the House,” referring to Bankman-Fried’s $35 million penthouse, where many employees lived.
In terms of who was paying the rent, Yedidia recalled Bankman-Fried saying he “assumed it’s just alameda paying for it in the end.”
Prosecutors are relying heavily on text messages sent among FTX and Alameda Research executives in the case against Sam Bankman-Fried.
Source: SDNY
The subject of campaign donations was pivotal to Singh’s testimony. The former FTX engineering chief, who pleaded guilty to six charges in February, alleged that his former boss was behind much of the scheme to funnel money to political campaigns.
Singh testified that Bankman-Fried directed money held in accounts belonging to Alameda Research be used for political donations. That continued even after Bankman-Fried was apparently aware that his crypto hedge fund couldn’t pay back the $13 billion in FTX customer funds it had borrowed.
While Bankman-Fried doesn’t face chares for campaign violations in this trial, a superseding indictment alleged he used customer funds to make more than $100 million in campaign contributions for the 2022 midterm elections. The government has incorporated that accusation within two of the charges that are still standing: wire fraud and money laundering.
Prosecutors are relying heavily on text messages sent among FTX and Alameda Research executives in the case against Sam Bankman-Fried.
Source: SDNY
‘Donation Processing’
Singh walked the jury through how the process worked.
He described a Signal chat dubbed “Donation Processing” that included Bankman-Fried and his brother, Gabe, Salame, and a political consultant named Michael Sadowsky, among others. Singh testified that Bankman-Fried or his brother would use this chat to request donations be made in Singh’s name. Salame, who had access to Singh’s bank account at Prime Trust Bank, would set up the transfer and then ping Singh in the channel to prompt him to go to his email and approve the wire request.
“My role was to click a button,” Singh said of the operation, adding that Salame had other ways to make the transfer from Singh’s funds that did not involve Singh having to do anything at all.
Prosecutors are relying heavily on text messages sent among FTX and Alameda Research executives in the case against Sam Bankman-Fried.
Source: SDNY
Prosecutors are relying heavily on text messages sent among FTX and Alameda Research executives in the case against Sam Bankman-Fried.
Source: SDNY
Prosecutors are relying heavily on text messages sent among FTX and Alameda Research executives in the case against Sam Bankman-Fried.
Source: SDNY
In a separate Signal chat between Singh and Sadowsky, Singh wrote on Jul. 5, 2022, that he was “averse” to “explicitly-woke stuff” but added that it was “hard to interact productively with democrats without that.”
Sadowsky called Singh the “center left face of our spending,” meaning that he would be “giving to a lot of woke s—.”
So, “if you’re not comfortable about it, you should think about that a lot,” wrote Sadowsky.
Singh responded, “don’t love boxing myself into only associating with people i don’t like” and said he would look to see if there were “other viable people at FTX for it.”
In questioning witnesses, the government homed in on loans made to Wang and Singh in the range of hundreds of millions of dollars.
Direct messages between Singh and Bankman-Fried showed an attempt by the witness to be cleared of these debt obligations.
In a direct appeal to Bankman-Fried, Singh wrote on Nov. 6, 2022, “one thing that’d seriously help me is if I didn’t have debts.”
He wrote, “I think most of them are loans: 500m for me exercising, more for US investments. I hope we can unwind these but not sure.” He said he would return anything he had in his bank account, but there wasn’t much there.
I “(will think about this),” Bankman-Fried wrote.
Prosecutors are relying heavily on text messages sent among FTX and Alameda Research executives in the case against Sam Bankman-Fried.
Source: SDNY
In the same thread, on Nov. 8, Singh wrote that Ryne Miller, FTX’s general counsel, seemed “super on edge” and “likely to resign” if they didn’t get it right.
Singh wrote, “this is wildly selfish of me, but they may need to know that it wasn’t a ton of people orchestrating it.” He added that, “it makes them more likely to want to be here to help save the situation and the others at least.”
Prosecutors are relying heavily on text messages sent among FTX and Alameda Research executives in the case against Sam Bankman-Fried.
Source: SDNY
As the grand scheme collapsed, Ellison expressed a great deal of relief in a private chat with Bankman-Fried.
Ellison wrote, “this is the best mood I’ve been in in like a year tbh.” (TBH is short for to be honest.)
In three consecutive messages, Bankman-Fried responded, “wow,” “uh,” “congrats?”
Ellison wrote, “I think I just had an increasing dread of this day that was weighing on me for a long time, and now that it’s actually happening, it just feels great to get it over with one way or another.”
Prosecutors are relying heavily on text messages sent among FTX and Alameda Research executives in the case against Sam Bankman-Fried.
Source: SDNY
Environment
Check out Kia’s upgraded EV6 GT, spotted in the US for the first time in matte blue [Video]
![Check out Kia's upgraded EV6 GT, spotted in the US for the first time in matte blue [Video]](https://i0.wp.com/electrek.co/wp-content/uploads/sites/3/2025/01/Kias-new-EV6-GT-US.jpeg?resize=1200,628&quality=82&strip=all&ssl=1)
Kia’s fastest car (EV or gas) is getting a major upgrade. The new Kia EV6 GT was spotted in the US for the first time, and it looks like a drastic improvement from the already sporty EV. Check out Kia’s new EV6 GT in matte blue.
With a starting price tag of just over $60,000, the EV6 GT (see our review) is one of the most affordable electric sports cars on the market.
With up to 576 hp and 545 lb-ft of torque, Kia’s EV can accelerate from 0 to 60 mph in just 3.4 seconds. The EV6 GT is not only Kia’s most powerful vehicle so far, but it’s also among the fastest cars from any automaker, including gas-powered ones.
Kia put its top performer up against a Ferrari Roma and Lamborghini Huracan Evo Spyder RWD to prove it. An independent test by AMCI confirmed the electric sports car “out-accelerated” the iconic sports cars.
Now, Kia’s EV6 GT is getting even more powerful, dynamic, and sporty. Kia launched the upgraded model in Korea in late November, starting at just over $50,000 (72.2 million won).
Kia’s new EV6 refresh debuted in the US at the LA Auto Show in November. It now has even more driving range, faster charging, and a slick new look. It even includes an NACS port for charging at Tesla Superchargers. The new GT trim boasts up to 641 hp (478 kW) and 568 lb-ft (770 Nm) max torque, which is good for a 0 to 62 mph (0 to 100 km/h) sprint in just 3.5 seconds.
What to expect from Kia’s new EV6 GT in the US
Powered by Kia’s fourth-generation battery pack, the new EV6 GT has a driving range of up to 220 miles (355 km), up from 332 km (206 mi) in the outgoing model.
With deliveries approaching, the new EV6 GT was spotted in the US for the first time without any camouflage. The video from KindelAuto gives us a good look at what to expect from Kia’s sporty new EV. The most noticeable feature is the matte blue, which adds to the already sleek design.
You can see other upgrades immediately, like the redesigned front bumper and headlights. The rear bumper is wider with a wing-type design, while the 3-D taillights are based on Kia’s Star Map design.
It also pulls a fan favorite from Hyundai’s IONIQ 5 N with a new Virtual Gear Shift (VGS) feature. We caught it in action last month after a Korean YouTuber showed off how it works (see the video here).
Kia will build 2025 EV6 models, except the GT trim, at its Georgia assembly plant alongside the new EV9. The new model will be available in Light (RWD), Light Long Range (RWD or e-AWD), Wind (RWD or e-AWD), GT-Line (RWD or e-AWD), and GT (e-AWD) trims. It is expected to go on sale in the first half of next year.
With a larger 84 kWh battery pack, the refreshed EV has a range of 319 miles, up from 310 in the outgoing model.
Kia also upgraded the interior with its new connected car Navigation Cockpit (ccNC) OS system, which features dual 12.3″ driver and infotainment screens in a curved display.
A Kia official said the upgraded model “will become a new standard that will change the paradigm of high-performance electric vehicles.”
Do you agree? Can it compete with top-of-the-line EV sports cars like the Tesla Model S Plaid or Porsche Taycan Turbo GT? It’s already about half the cost. In the comments below, let us know your thoughts on the upgraded EV6 GT.
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A Tesla Cybercab, or Robotaxi, Tesla has been using the names alternatively, has been spotted with a steering wheel – raising questions.
Last year, Tesla unveiled the Cybercab, a two-seat steering wheel-less electric vehicle that the automaker claims will power a fleet of autonomous ride-hailing vehicles.
At the unveiling, Tesla gave some rides in the vehicle, but it was on a closed circuits on private roads with teleoperations. The vehicle didn’t display capabilities much more advanced than what it already deployed in customer vehicles.
Many industry watchers are skeptical about the vehicle because it relies on the same ‘Full Self-Driving (Supervised)’ technology in Tesla’s existing vehicles. However, Tesla is betting that it will be able to make it “unsupervised” by the time this vehicle gets into production in 2026 since it doesn’t have a steering wheel to be “supervised” like Tesla’s existing customer fleet.
As we have often reported, the only data available on Tesla’s Full Self-Driving program suggests that this is highly unlikely.
But now, a Tesla Cybercab has been spotted with a steering wheel at Gigafactory Texas:
The picture was taken by Joe Tegtmeyer, who often flies drones over Tesla’s Gigafactory Texas in Austin.
Some questioned whether the image showed a wheel or a shadow, but it becomes quite clear that it is a steering wheel when playing with image’s contrast and exposure:
This is raising some questions. Some are questioning if it means Tesla is also planning a consumer version of the vehicle with a steering wheel, but that sounds like wishful thinking as Tesla insisted that this vehicle will launch without a steering wheel.
The more likely explanation is that Tesla is using a steering wheel to test the vehicle with driver supervision, as its current technology relies on it. This also enables it to avoid some reporting regulations regarding autonomous driving test programs.
The sighting is also interesting with the context of Elon Musk’s recent claim that Tesla is conducting ‘unsupervised self-driving trials’ with employees.
We questioned this claim, which he made off the cuff when playing a video game, as Tesla has no autonomous driving test permit. It sounds like he either confused it with the supervised ride-hailing service for employees in the Bay Area announced last quarter or the limited testing with Cybercabs at Gigafafactory Texas’ private roads that we have seen before.
This Cybercab with a steering wheel could show that Tesla is actually conducting these trials supervised, which would make more sense.
What do you think? Let us know in the comment section below.
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The world’s largest electric vehicle maker is becoming a force in the global auto market. BYD confirmed it’s on track to open another massive EV plant overseas by the end of 2025. The new facility in Indonesia will be able to produce 150,000 vehicles a year as BYD expands its overseas manufacturing footprint.
After selling a record over 4.27 million new energy vehicles (NEVs) last year, BYD is turning up the pressure in 2025.
Tesla topped BYD by about 25,000 units last year for the global EV sales crown. However, in terms of production, China’s leader sneaked past Tesla by about 4,500 vehicles to claim the title of “World’s largest EV maker” for 2024.
As a new wave of homegrown EVs arrives in China, BYD is focusing on overseas markets to drive growth in 2025.
After opening its first EV plant in Thailand last year, BYD confirmed another overseas manufacturing facility is on track to open by the end of the year. In a new interview with Reuters, Eagles Zhao, BYD’s president director in Indonesia, said the company is aiming to finish the $1 billion manufacturing plant in the region by the end of 2025.
“Every single progression of our local manufacturing is quite smooth and also on the track. We will keep our commitment, which is by end-2025,” Zhao said.
BYD to open new overseas EV plant in Indonesia in 2025
According to Zhao, BYD plans to use the new EV plant for exports as it aggressively expands into overseas markets.
Like its plant in Thailand, the new overseas facility will have a production capacity of 150,000 vehicles. Because of the $1 billion investment, BYD has been temporarily allowed to ship cars into Indonesia without an important tax.
The move is part of Indonesia’s goal to build 600,000 EVs domestically by 2030. Like other Southeast Asian countries, Indonesia is introducing new policies to attract foreign investments and take advantage of the market’s shift to EVs.
BYD is already the leading EV maker in Indonesia, accounting for over a third (36%) of the market. According to the auto association, the EV giant sold nearly 15,500 vehicles last year, its first full sales year.
The company already sells several popular models in Indonesia, including the Seal, Atto 3, and Dolphin. Last summer, it launched its first electric multi-purpose vehicle (MPV), the M6. BYD said the M6 was already its best-selling vehicle last year. This week, BYD is introducing its luxury Denza brand.
According to Zhao, BYD will launch more vehicles in the region this year but didn’t say what models or how many to expect.
Once construction is complete, Zhao expects production to begin shortly after. With new models arriving, BYD expects “rapid” sales growth in Indonesia this year.
Electrek’s Take
BYD’s rapid rise in the global auto market is already causing legacy automakers to scramble. For example, Japan’s Honda and Nissan are now teaming up as they struggle to keep pace with BYD and other Chinese EV makers.
Japanese car brands like Toyota and Honda have historically dominated Southeast Asia. Once representing over 90% of the market, Japanese automakers have watched their share of the “Detroit of Asia,” or Thailand, fall to just 76% over the past two years.
In fact, BYD sold more electric cars in Japan last year than Toyota, and 2024 was BYD’s first full sales year in Toyota’s home market.
BYD is quickly expanding the brand globally with new plants opening in Mexico, Brazil, Hungary, Turkey, and Pakistan.
Although BYD is best known for low-cost EVs like the Seagull and Dolphin, it is launching new models in just about every segment, including pickup trucks, smart SUVs, luxury models, and electric supercars.
One thing is for certain: BYD will continue to be a name to watch in 2025 as the company looks to maintain its impressive global sales run.
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